During the course of a class, if as much education is given to each individual possible, then at the end of the class what does the actual grade matter? These grades turn out to be a poor proxy for things like earning, ingenuity, creativity, changing-the-world, or for that matter even grokking the materials. The only thing for which they're (maybe) a valuable proxy is 'how well can this student juice the grade of the next course in the line' -- a question whose answer ultimately adds no value to society.
It's unfortunate, but in my department about 80 % of the students go up to med school. The GPA plays a great part in determining just what school will accept you, which in turn has massive impact on your future earnings.
Any college student with the sole goal of learning how to learn & think unfortunately doesn't survive the education system.